Storage giant EMC, which is prepping for a merger with Dell, delivered fourth quarter results that were mixed as demand slowed.
The company reported fourth quarter earnings of $771 million, or 39 cents a share, on revenue of $7 billion, flat with a year ago. Non-GAAP earnings were 65 cents a share. Earnings were in line with Wall Street estimates, but revenue fell short of analysts' $7.13 billion target.
Overall, EMC is doing what it has to do: Hold the fort ahead of the Dell acquisition. For the year, EMC reported earnings of $2 billion, or $1.01 a share, on revenue of $24.7 billion.
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EMC CEO Joe Tucci said that the company navigated a strong dollar, geopolitical turmoil and changing technology trends well. Tucci also said that the Dell transaction remains on track. EMC's VMware also delivered solid results. VMware also brought on Zane Rowe, EMC's CFO, to fill the same role.
On a conference call with analysts, Tucci recapped the Dell deal:
Our combined assets a better position to navigate the major changes in our industry and lead in a new world. Customers have been overwhelmingly positive about this combination. We will be a strategic partner with more heft and breadth leading technologies that our critical to their success. Technologies aren't digital transformation, software or find data centers, hybrid cloud, diverts infrastructure, mobile and security. And very importantly the people of EMC and Dell are embracing the combination. The understand that together with better position in the market and that this will create new and more opportunities for them over the long run. I am pleased to report that progress on closing the transaction remains on track--terms and timeline.
Here's a look at EMC's growth by business. The information infrastructure business was hampered by weak sales at RSA, but storage also fell.